City of Winnipeg Planning, Property and Development Department

City of Winnipeg Planning, Property and Development Department Request for Expressions of Interest for a Joint Venture Partnership with the City of Winnipeg for the Sale and Redevelopment of the City Owned Property Located at 1500 Plessis Road/849 Ravelston Avenue West Winnipeg, Manitoba EOI # (580-2014)

Request for Expressions of Interest for City Owned Land Located at 1500 Plessis Road Winnipeg, Manitoba 1.0 INTRODUCTION The City of Winnipeg (City) invites Expressions of Interest (EOI) from Joint Venture Proponents, with respect to the sale and redevelopment of a portion of 1500 Plessis Road/849 Ravelston Avenue West. The City of Winnipeg is seeking proposals from Joint Venture Proponents identifying how this site can be development in the manner as outlined in this EOI. The proposal should address what they expect the City s role to be in a proposed Joint Venture Partnership. As per OurWinnipeg, the Complete Communities Direction Strategy, and the Transcona West Area Structure Plan, the site is intended to be developed as a high density, mixed use, transit-oriented development that will include the integration of a multi-use recreation area. POSTIVE FEATURES FOR THE PROPOSED DEVELOPMENT OF THIS SITE: Future infrastructure will provide traffic connectivity In close proximity to future multi-use library In close proximity to proposed future rapid transit Within close proximity to major shopping district This information package provides a brief overview of the property and the associated terms of reference for this EOI. 2.0 LOCATION The subject City property is located on the northwest corner of Plessis Road and Ravelston Avenue West and is shown as Subject City Property outlined on the attached Misc. Plan No. 14268/13. Lot 1 is to be sold by the City to Winnipeg Housing Rehabilitation Corporation and Lots 2 and 3, are to be retained by the City for future development of public facilities, and therefore are not being offered for sale and development in this EOI. 3.0 BACKGROUND The property is the former location of the City of Winnipeg District No. 4 Operations and Waterworks, Waste and Disposal Departments, housing a small industrial complex of offices, shops and warehousing facilities comprising approximately 82,500 square feet, staff parking and fenced storage including storage of roadsalt/sand mix. It is currently zoned M1 Manufacturing Light Industrial. 2

All City Departments will completely vacate the property by December 31, 2014. The subject City property is being offered with vacant possession. The demolition of existing buildings within the Subject City Property shall be negotiated as part of a Joint Venture Agreement. 4.0 COUNCIL DIRECTIVE On May 24, 2006, Council declared 1500 Plessis Road/849 Ravelston Avenue as surplus when vacated and to be made available for sale in accordance with the Public Works-Water and Waste Facilities Master Plan. 5.0 PREVIOUS STUDIES 5.1 Environmental Assessments Phase I and II Environmental Site Assessments (ESA) were completed for the City by AMEC Environment & Infrastructure in 2012. Areas of concern associated with the use or storage of petroleum hydrocarbons (PHC), soil salinity, metal parameters, polycylic aromatic hydrocarbons (PAHs), and polychlorinated biphenyls (PCBs) were assessed. Electronic Copies of the Phase I and Phase II ESA s are available on request from the Contact Person herein. The City hereby discloses that some components of the buildings may contain various forms of asbestos, including but not limited to the itemized list provided in Schedule E herein. The proposed Joint Venture Agreement shall address the safe removal of the asbestos and any other hazardous materials as part of the demolition process. The subject City property is offered in as-is, where is condition. The subject City property will require remediation to an environmental standard acceptable to Manitoba Conservation for the intended uses. 6.0 CURRENT STATUS 6.1 Planning 6.1.1 OurWinnipeg and Complete Communities The Complete Communities Direction Strategy is one of four direction strategies supporting OurWinnipeg, the city s new long-range development 3

plan, and has gained statutory authority as a secondary plan. The strategy serves as a playbook to guide land use and development in Winnipeg. It received third reading at City Council on July 20, 2011, and became effective on August 17, 2011. According to the Complete Communities Urban Structure map, the site is designated as a Major Redevelopment Site. Major Redevelopment Sites will provide transformative opportunities for the development of complete communities with significant residential and employment densities and attractive urban design, capitalizing on vacant or underutilized sites within the existing urban fabric. Supporting Direction and Enabling Strategies include: Promote development of Major Redevelopment Sites with proactive and collaborative planning process. Capitalize on the proximity of Major Redevelopment Sites to rapid transit and high frequency transit. Major Redevelopment Sites will provide for complete communities with significant levels of mixed use, high density development, with strong urban design and attractive parks, places, and open spaces. Electronic copies of OurWinnipeg and Complete Communities can be found online at the following website: http://speakupwinnipeg.com/ourwinnipeg/. 6.1.2 Transcona West Area Structure Plan The subject site falls within the boundaries of the Transcona West Area Structure Plan, which serves as a blueprint for the future development of the area. This Plan shows an extended Kildare Avenue bisecting the subject site. Construction of the southern 2 lanes will be commencing in 2014. The north half and the south half of 1500 Plessis Road/849 Ravelston Avenue West (except for the Park and Recreation designation) is designated as Proposed Residential Mixed Use. The purpose of these areas is to create community focal points with mixed use development that is strategically located within the plan area adjacent to major roadways and transit services. They should contain a grouping of retail and/or service commercial uses integrated with complementary uses such as public open space, single, and multiunit residential development. Section 5.4.2(4) outlines suggested design criteria for Residential Mixed Use areas. The Plan identifies the location of a proposed rapid transit station on the site to be located in the vicinity of Plessis and Kildare. It notes that Mixed Use Areas located in the vicinity of rapid transit stations planned for the Eastern 4

Transit Corridor shall provide convenient and direct pedestrian access to the stations, shall provide efficient roadway access to the transit corridor by transit vehicles, and shall provide convenient access to Park and Ride lots by vehicles. Electronic copies of the Transcona West Area Structure Plan can be found online at: http://www.winnipeg.ca/clkdmis/docext/viewdoc.asp?documenttypeid =1&DocId=4382&DocType=O. Note: On February 26, 2014 Council adopted the recommendation of the Standing Policy Committee on Property and Development that by-law 94/2013, a bylaw to amend the Transcona West Area Structure Plan (By-law 215/2006) to permit RMU (Residential Mixed Use) and PR3 (Parks & Recreation Regional) on those areas of the City Property shown on the attached Misc. Plan No. 14268/13. 6.1.3 Proposed multi-use recreation area The City of Winnipeg shall retain approximately 9.2 acres of land that shall be set aside for public facilities in the north east quadrant of 1500 Plessis Road/849 Ravelston Avenue West. This land is shown on Misc. Plan No. 14268/13 as Lots 2 and 3, Block 1. These lots will be created as per DASZ 39/13 which was approved by Council on February 26, 2014. These lands may include a multi-use recreation centre (35,000 sq. ft.) and potentially a community library (14,000 sq. ft.). This parcel should be linked as per the Transit Oriented Development Handbook to the proposed Transit Station and existing community AT facilities. Final site configuration shall be determined in consultation with the successful Joint Venture Proponent to the satisfaction of the City. 6.1.4 Proposed Sale of Lot 1 to Winnipeg Housing Rehabilitation Corporation On February 18, 2014 the Standing Policy Committee on Property and Development concurred with the recommendation of the East Kildonan- Transcona Community Committee that the sale of the subject City-owned property Lot 1 be approved to the Winnipeg Housing Rehabilitation Corporation for the purchase price of $1.00, together with all other terms and conditions that the Director of Planning, Property and Development and the Director of Legal Services and City Solicitor consider necessary to protect the interest of the City. 5

6.1.5 Other planning considerations It is expected that the site will be developed in accordance with Transit- Oriented Development (TOD) principles. These are outlined in the City s Transit-Oriented Development Handbook, which can be found at the following link: http://www.winnipeg.ca/ppd/tod/pdf/handbook.pdf. And the TOD Checklist at: http://www.winnipeg.ca/ppd/tod/pdf/checklist.pdf. The following provides a summary of some concepts in the Transit Oriented Development Handbook that could be applied to this Major Redevelopment Site: The Complete Communities Direction Strategy advises that development alongside rapid transit stations should be developed in accordance with transit oriented development principles. The Transcona West Area Structure Plan identifies a future rapid transit station in the vicinity of Plessis and Kildare. The City of Winnipeg has a Transit Oriented Development Handbook to guide such development. It was endorsed in principle by Council on February 22, 2012. The TOD Handbook is a high-level framework document that guides and facilitates mixed-use, pedestrian-oriented infill development along rapid transit corridors and high frequency transit corridors. While the bulk of the Handbook deals with higher-level issues, there are a number of Principles that can be applied at a site-specific level such as the proposed development. Specifically, it highlights six: 1. Medium to high density development that is greater than the community average. 2. A mix of uses. 3. Compact, high quality pedestrian-oriented environment. 4. An active, defined centre. 5. Innovative parking strategies. 6. Public leadership. Among these above noted Principles, some key supporting points include: - Highest densities and heights near station The immediate area around the station should generally contain the greatest intensity and mix of uses. - Ground floor active uses A range of uses, conveniently located close to the station entrance, will promote activity within the station area. Higher intensity development with active ground floor uses (such as shops and/or restaurants) sensitively clustered within a short walk of station entries, will assist in promoting transit ridership and the creation of 18 hour places. - Make connections through urban form The relationship between existing community elements (buildings, streets, sidewalks) and the new transit infrastructure should be assessed as part of the 6

design process to determine if a linked series of spaces and available routes make it easy to access the station. - Design these and details High quality architectural design and detail should be provided conveying a sense of place and relating to the street and the pedestrian environment, including active first floor storefront windows, awnings, architectural features, lighting, and landscaping. - Urban parks and open space Urban parks, gathering places and plazas, including public art. - Pedestrian oriented environment Pedestrian oriented design to encourage walking and community interaction with ground floor uses and spaces. - Connections Incorporation of connections between buildings, the station and the Active Transportation network to ease movement within the site and encourage cycling to mid-distance destinations. - Parking as urban form Minimize surface parking and plan for parking on an area or district basis rather than building by building. Any surface parking should be balance with structured and underground parking. Parking provided on-site should be located to the side or rear of buildings, rather than in the front yard. Any parking facilities should be integrated with the development theme and screened from adjacent land uses. Some short-term parking would be appropriate in front of ground floor retail uses. Bicycle parking should be provided at convenient locations in proximity to building entrances, but outside the path of pedestrian travel. Any and all costs related to zoning, subdivision or dedication fees and street closings or openings related to the redevelopment of the property are to be negotiated as part of a Joint Venture Agreement. Note: The City filed an application (DASZ 39/13) to rezone and subdivide 1500 Plessis Road/849 Ravelston Avenue West to create the RMU and PR3 (Residential Mixed Use and Parks and Recreation Regional) zoning and land parcels shown on the attached Misc. Plan No. 14268/13. On February 26, 2014 Council adopted DASZ 39/13 to subdivide and rezone 1500 Plessis Road/849 Ravelston Avenue West to create the RMU and PR3 zoning. The Joint Venture Partnership proposal shall address the zoning and servicing agreements containing all of the conditions approved by Council applicable to the rezoning and subdivision application (DASZ39/13). Please see the attached Draft Schedule C Special Terms relating to servicing requirements. For further information in regard to the aforementioned Special Terms, contact Mr. Greg Jasper, Land Development Branch at 204-986-5114. 7

For further planning information, contact area planner Mr. Michael Pyl at 204-986-5595. 6.2 Services Transportation: The Transcona West Area Structure Plan (July 2008 Map 5) identifies the proposed streets to be opened/closed within the limits of the subject City property. There will be a requirement to enter into zoning and servicing agreements containing all of the conditions approved by Council applicable to this rezoning and subdivision application (DASZ 39/13) Please see attached conditions of Council Minutes dated February 26, 2014 Schedule D. The City of Winnipeg will be responsible at its expense for the PLAN CONSIDERATIONS items 1 to 4. Also attached is the Draft Servicing Agreement as required by DASZ 39/13, attached as Schedule C Special Terms. 1. As part of any proposed development of the subject City property, the Joint Venture Agreement shall address the responsibility for the construction of: (1) 2 lanes of pavement and the accompanying range of municipal services for the extension of Kildare Avenue, west of Plessis Road on an alignment agreeable to the City, up to the easterly limit of the planned area on the Ravelston Avenue right-of-way contained in application DASZ 10/13. The City is currently in process for the commencement of construction of the other 2 lanes of pavement for the extended Kildare Avenue including land drainage. These 2 lanes are expected to be completed and opened by November of 2014. The extended Kildare Avenue is required to be a 4 lane roadway. (2) Provide the full range of municipal services, including pavement, for the extension of Bienvenue Street North to the new extension of Kildare Avenue West. (3) Any additional requirements as per the attached Draft Schedule C Special Terms relating to servicing requirements. 8

2. Other road works required as part of the rezoning/subdivision will include but not be limited to: intersection works at Plessis Road and Kildare Avenue West including modifications to existing traffic control signals, intersection works at the future Ed Schreyer Parkway and Kildare Avenue West including traffic signals and the CEMR railway crossing. For detailed information on specific streets requirements contact: Cindy Desjardine, Public Works Department, 204-986-6875. Sewer and Water: Information on the existing infrastructure is available at the City of Winnipeg, Underground Structures Branch 204-986-6401. The Joint Venture Agreement shall be required to address the requirement of a detailed servicing report prepared by a qualified engineer for review and approval by the City prior to any development taking place. As part of any proposed development, the Joint Venture Partnership shall be required to enter into a servicing agreement with the City to construct all watermains, wastewater sewers and land drainage sewers required to serve the Subject City Property and any other conditions for a Servicing Agreement as set out in the attached Schedule C Special Terms. 6.3 Property Information Assessment: Part of Roll # 04005426500 Subject City Property: The subject City property is part of a larger landholding owned by the City contained in Certificate of Title #1877138/1, which is legally described as: All those portions of OTM Lots 86 A, 87 A, 88 A, 89 A and 90 A, Parish of Kildonan, which lie to the SE of a line drawn SE of Parallel with and Perpendicular distant 85 feet from the southeastern limit of the land taken for the Right-of-way of the Canadian Northern Railway shown on Plan 898 WLTO. The title is subject to caveat #182465/1 by the Manitoba Hydro-Electric Board. The extent of the caveat is shown on Misc. Plan No. 14268/4 attached hereto as Schedule B and affects a portion of the subject City property. Buildings/Improvements: The subject City property is being sold as is where is. 9

It will be the responsibility of the Proponent for demolition of the existing buildings/improvements. 6.4 Viewing of the Subject Property Will be scheduled by appointment through the Contact Person. 7.0 INSTRUCTIONS TO JOINT VENTURE PROPONENTS 7.1 Material and Information to be Supplied by Joint Venture Proponents 7.1.1 Background Information i) the names of all Principals associated with the proposal; ii) a list of the successful projects carried out by the Joint Venture Proponent, if any; iii) financial information about the Joint Venture Proponent; iv) any other information which the Joint Venture Proponent considers pertinent to the EOI. 7.1.2 Details of the Proposed Purchase and Site Development The proposals must include the following: Corporate profile and a statement about experience with mixed use development, including transit oriented development projects, Offering price, Financial terms, Conditions, if any, related to the development of the subject City property A plan outlining the proposed development, including: An outline of the development phasing and timing, The anticipated economic and social benefits, both direct and indirect, to the community, A description of how the proposal will meet TOD objectives, A description of innovative approaches to environmental remediation or treatment of the site, A description of how the proposal addresses the City s environmental objectives and/or targets (eg. Greenhouse gas reduction, waste maximization, building technology, water conservation, energy management), and any other relevant terms or assumptions. 10

7.2 General Conditions of EOI 7.2.1 Sealed EOI s Sealed EOI s marked 1500 Plessis Road EOI #580-2014, should be addressed and delivered to: Materials Management City of Winnipeg Main Floor, 185 King Street Winnipeg, Manitoba Sealed EOI s will be received up to the deadline of: 4:00 pm, Winnipeg Time, on August 8, 2014. EOI submissions determined by the Manager of Materials to have been received later than the EOI deadline may not be accepted and returned upon request. The Contract Administrator or the Manager or Materials may extend the submission deadline by issuing an addendum at any time prior to the submission deadline. EOI s submitted by facsimile transmission (fax) or internet electronic mail (e-mail) will not be accepted. EOI s will not be opened publicly. The City may at any time prior to the submission deadline, issue addenda correcting errors, discrepancies or omissions in the Request for Expressions of Interest, or clarifying the meaning or intent of any provisions therein. Addenda will be available on the Bid Opportunity page at the City of Winnipeg, Corporate Finance, Materials Management Division internet site at http://www.winnipeg.ca/matmgt/bidopp.asp The Joint Venture Proponent is responsible for ensuring that it has received all addenda and is advised to check the Materials Management Division internet site for addenda shortly before the submission deadline. 11

7.2.2 Proposals on all or Part of the Lands The City will only consider proposals which intend to develop all of the subject City property. 7.2.3 Evaluation The City shall evaluate each proposal on its own merit and price alone may not be the sole determining factor that the City considers in the evaluation of each and every proposal. Critical factors within the evaluation process will include: Purchase price, Potential tax revenue, Demonstrated experience with mixed use development Corporate profile, knowledge of the industry and history of development experience in Winnipeg, Demonstrated financial and management capacity, and availability to implement the project, Demonstrated understanding of the project objectives and key issues, Project schedule and timing of implementation, Compatibility with surrounding uses, Overall development layout, Proposed building design and quality. 7.2.4 Right to Reject The City reserves the right to reject all or any EOI. 7.2.5 Caveat Emptor The City makes no representations or warranty with respect to the quality, condition or sufficiency of the Subject City Property. No current legal survey was made of the Subject City Property to determine the nature and extent of any structure thereon or to determine if there are any encroachments from adjoining lands. The Subject City Property will be sold on an as is, where is basis, subject to the conditions as outlined within this EOI. 7.2.6 Phase I EOI Evaluation The Joint Venture Proponents are advised to present their best offer, not a starting point for negotiations in their Proposal submission. The 12

City will only negotiate with the Joint Venture Proponents submitting, in the City s opinion, the most advantageous and thorough proposal. The Planning, Property and Development Department will review all proposals on the basis of financial, operational and strategic merit to the City. If, after this initial review, the Department deems the proposals to be unacceptable, the proponents will be notified and no further discussions will be held. Upon completion of the initial Phase I review, the Department will short list those submissions that are worthy of additional discussions and proceed to the Phase II evaluation process. 7.2.7 Phase II Detailed Proposal Solicitation and Evaluation The Department will notify all Joint Venture Proponents of their status within the short listed process, and will invite the short listed Joint Venture Proponents to submit additional or clarifying details, regarding their submission(s). 7.2.8 Phase III - Negotiations The Department will enter into detailed negotiations with one or more short listed proponents which it believes have the most merit. The proposal(s) will be finalized for submission to, and consideration by the Standing Policy Committee on Property and Development. The Council of the City of Winnipeg has delegated the authority to the Standing Policy Committee on Property and Development for the approval of the disposition of Subject City Property. Subject to the prior approval by the Standing Policy Committee on Property and Development of the Joint Venture Proponent s proposal, the Department will then draft a formal Joint Venture Agreement between the City and the Joint Venture Partner embodying the City s standard terms and conditions together with any conditions imposed by the City solicitor to protect the interests of the City. 7.2.9 No Contract The Expression of Interest is an inquiry only. By responding to this EOI and participating in the process as outlined in this document, Joint Venture Proponents expressly understand and agree that no contract 13

of any sort is implied or formed under, or arises from this EOI and that no legal obligations between parties has, or will be, pre-determined. The City will have no obligation to enter into negotiations or a contract with any Joint Venture Proponent as a result of this Expression of Interest. 7.2.10 Confidentiality Information provided to a Joint Venture Proponent by the City, or by a Proponent to the City, or acquired by any party by way of further enquiries or through investigation, is strictly confidential. Such information shall not be used or disclosed in any way without the prior written authorization of the City, or of the Joint Venture Proponent. The Joint Venture Proponent, or the City, shall not make any statement of fact or opinion regarding any aspect of the EOI to the media or any member of the public without the prior written authorization of the Director of the Planning, Property and Development Department, or without the authorization of the Proponent. Disclosure of a successful submission by a proponent is the sole responsibility of the Council of the City of Winnipeg, or its Designated Authority. The City may be obligated to disclose the final purchase price after closing date of the sale of the Subject City property. List of Figures 7.2.11 Contact Persons Joedi Pruden, Senior Negotiator City of Winnipeg Planning, Property and Development Department 2 nd Floor, 65 Garry Street Winnipeg, Manitoba Phone (204) 986-7533 Fax: (204) 944-8476 Schedule A Misc. Plan No. 14268/13 Subject City Property Schedule B Misc. Plan No. 14268/4 Manitoba Hydro Electric Board Easement Schedule C Special Terms for Servicing Agreement Schedule D Council Minutes February 26, 2014 pages 1 to 11 Schedule E Asbestos Inventory List Schedule F Conceptual Renderings 14

Schedule A 15

Request for Expressions of Interest for City Owned Land Located at 1500 Plessis Road Winnipeg, Manitoba Schedule B 16

Schedule C 17

Schedule D 30

Schedule E 41

Schedule F 59